Scalable Data Driven Investing with Neal Bawa

Jul 20, 2020

Neal Bawa
This podcast guesting of Neal Bawa is hosted by Mason Klement of Scalable Real Estate Investing.

Join us as we speak with Neal Bawa, the mad scientist of multifamily investing. Neal is the founder and CEO of Grocapitus, a commercial real estate investment firm that applies data-driven insights to invest in over 2,000 doors and more than $250 million in both multifamily and self-storage assets. Neal is also the CEO of an apartment investing education company called MultifamilyU.

Episode Highlights:

– Real estate overcorrects in a downturn. In the last recession, the biggest swing in values was 70%
– Investors can consolidate more than 10 single-family properties into portfolio loans
– Neal’s FREE Udemey real estate course teaches the 5 metrics to analyze a market prior to investing. It goes into detail about finding markets that have Goldilocks demographics less than $70,000 median income but greater than the poverty threshold. If too many people are below the poverty threshold you’ll have a lot higher turnover at your property. The typical stay for a healthy-performing property is 2.5 years.
– Out of 8,751 census zones, Neal and his team identified only about 300 that were investment grade. That means that on average, only 3% to 5% of opportunity zones are investable.